Financial

Consolidated Financial Results: Fiscal Year Ended March 31, 2026

Summary

Sega Sammy’s fiscal year ending March 31, 2026 delivered a mixed financial picture. Net sales rose 13.7 % to ¥487,542 million, driven largely by third‑party and U.S. film production income, yet operating income slipped 2.1 % to ¥47,128 million and the group recorded a net loss of ¥5.756 billion attributable to owners of parent. Adjusted EBITDA collapsed 73.3 % to ¥16,656 million, largely due to goodwill and intangible asset impairments from the acquisitions of Rovio, Stakelogic and GAN. Despite these losses, shareholder returns remained robust with ¥55 per share in dividends and a ¥20 billion share buy‑back, totaling approximately ¥31.4 billion in returns. The Gaming segment experienced a sharp rebound in sales, with net sales up 35.9 % to ¥132.2 billion, largely from a 36 % increase in Pachislot & Pachinko and a 364 % surge in third‑party gaming sales. Ordinary income climbed 58.8 % to ¥33.3 billion, and adjusted EBITDA grew 38.8 % to ¥33.7 billion; however, the segment posted a substantial operating loss of ¥19.4 billion. Total assets fell by ¥17.4 billion, liabilities rose by ¥9.2 billion, and net assets declined by ¥26.6 billion, with cash and equivalents dropping to ¥154 million. Capital efficiency measures included a ¥20 billion treasury stock cancellation and significant goodwill write‑downs—¥31.99 billion on Rovio goodwill and ¥18.05 billion on Stakelogic assets—resulting in a total goodwill write‑down of ¥28.71 billion. Net assets per share fell from ¥1,782.73 to ¥1,750.15, and basic earnings per share swung from a profit of ¥209.79 to a loss of ¥27.36, with no diluted EPS reported due to the net loss. Looking ahead, management projects a 4.6 % revenue increase for FY 2027 but anticipates a 5.6 % decline in operating income, while maintaining its dividend policy. The company’s financial trajectory reflects a transition from growth‑driven sales expansion to a focus on restructuring and capital efficiency amid significant impairment losses.

From the report

SEGASammy May 12, 2026 (Translation) Consolidated Financial Results for the Fiscal Year Ended March 31, 2026 (Japanese GAAP) Name of Company : SEGA SAMMY HOLDINGS INC. Listing : Tokyo Stock Exchange Prime Code number : 6460 URL : https://www.segasammy.co.jp/en Representative : Haruki Satomi President and Group CEO, Representative Director Inquiries : Tomoaki Ishibashi Managing Director of Finance & Accounting Division TEL : +81-3-6864-2400 Scheduled date to hold Annual Meeting of Shareholders : June 24, 2026 (plan) Scheduled date to file financial report : June 23, 2026 (plan) Scheduled date to commence dividend payments : June 4, 2026 (plan) Preparation of supplementary material on financial results : Yes Holding of financial results briefing : Yes (for institutional investors) (Amounts below one million yen are rounded down) 1. Consolidated Financial Results for the Fiscal Year Ended March 31, 2026 (April 01, 2025 - March 31, 2026) (1) Consolidated Operating Results (Percentage represents changes from the prior year) Net sales Operating income Ordinary income Profit attributable to owners of parent Year ended Millions of % Millions of % Millions of % Millions of % yen yen yen yen March 31, 2026 487,542 13.7 47,128 (2.1) 54,205 2.1 (5,756) - March 31, 2025 428,948 (8.5) 48,124 (16.8) 53,114 (11.1) 45,051 36.3 (Note) Comprehensive income: For Year ended March 31, 2026 : ¥16,452 million ((61.6)%) For Year ended March 31, 2025 : ¥42,804 million ((18.8)%) (Reference) Adjusted EBITDA For Year ended March 31, 2026 : ¥16,656 million ((73.3)%) For Year ended March 31, 2025 : ¥62,283 million (13.8%)

5,051 36.3 (Note) Comprehensive income: For Year ended March 31, 2026 : ¥16,452 million ((61.6)%) For Year ended March 31, 2025 : ¥42,804 million ((18.8)%) (Reference) Adjusted EBITDA For Year ended March 31, 2026 : ¥16,656 million ((73.3)%) For Year ended March 31, 2025 : ¥62,283 million (13.8%) Basic earnings Diluted earnings Return on Return on Operating income per share per share equity assets to net sales Year ended Yen Yen % % % March 31, 2026 (27.36) - (1.6) (0.9) 9.7 March 31, 2025 209.79 209.02 12.2 6.9 11.2 (Reference) Equity in earnings of affiliates: For Year ended March 31, 2026 : ¥5,402 million For Year ended March 31, 2025 : ¥3,527 million (Note) Although there were potential shares outstanding for the fiscal year ended March 31, 2026, the diluted earnings per share is not presented because a net loss was recorded for the fiscal year.

(2) Consolidated Financial Position Total assets Net assets Equity ratio Net assets per share As of Millions of yen Millions of yen % Yen March 31, 2026 627,388 354,967 56.5 1,750.15 March 31, 2025 644,777 381,604 59.1 1,782.73 (Reference) Shareholders’ i equ ty: March 31, 2026 : ¥354,693 million March 31, 2025 : ¥381,165 million (3) Consolidated Cash Flows Cash flows from Cash flows from Cash flows from Cash and cash operating activities investing activities financing activities equivalents at the year-end Year ended Millions of yen Millions of yen Millions of yen Millions of yen March 31, 2026 25,940 (22,514) (56,623) 153,776 March 31, 2025 20,856 (12,543) (27,981) 198,865 2. Cash Dividends Cash dividends per share Total Dividends First Second Third Year- Full- dividends Payout ratio paid to quarter quarter quarter end year ( paid l) (Consolidated) ( net assets annua Consolidated) Yen Yen Yen Yen Yen Millions of yen % % Year ended - 25.00 - 27.00 52.00 11,208 24.8 3.0 March 31, 2025 Year ended - 27.00 - 28.00 55.00 11,460 - 3.1 March 31, 2026 Year ending - 27.00 - 28.00 55.00 34.6 March 31, 2027 (plan) (Notes)1. Total dividends paid include dividends paid to the trusts to the "BIP trust" and the "Stock-granting ESOP trust" (¥103 million for the fiscal year ended March 31, 2025, ¥108 million for the fiscal year ended March 31, 2026). Payout ratio has been calculated by dividing the total dividends paid by profit attributable to owners of parent. 2. The consolidated payout ratio for the fiscal year ended March 31, 2026 is not presented because a basic loss per share was recorded.

llion for the fiscal year ended March 31, 2026). Payout ratio has been calculated by dividing the total dividends paid by profit attributable to owners of parent. 2. The consolidated payout ratio for the fiscal year ended March 31, 2026 is not presented because a basic loss per share was recorded. 3. Forecast of Consolidated Financial Results for the Fiscal Year ending March 31, 2027 (Percentage represents changes from the prior year) l i i di i Profit attributable to Basic Net sa es Operat ng ncome Or nary ncome owners of parent earnings per share Millions of % Millions of % Millions of % Millions of % Yen yen yen yen yen Full-year 510,000 4.6 44,500 (5.6) 47,500 (12.4) 32,500 - 160.36

4. Other (1) Changes in significant subsidiaries during the period: Yes New : 37 Company name : Stakelogic B.V. and its 12 other subsidiaries, GAN Limited and its 23 other subsidiaries Exclusion : - Company name :- (2) Changes in accounting policies, changes in accounting estimates, and restatements 1. Changes in accounting policies due to revisions to accounting standards and other regulations: No 2. Changes in accounting policies due to other reasons: No 3. Changes in accounting estimates: No 4. Restatements: No (3) Number of issued shares (common stock) 1. Number of issued shares at the end of the period (including treasury stock) March 31, 2026 : 221,229,476 March 31, 2025 : 241,229,476 2. Number of treasury stock at the end of the period March 31, 2026 : 18,564,547 March 31, 2025 : 27,418,879 3. Average number of shares during the period For Year ended March 31, 2026 : 210,423,003 For Year ended March 31, 2025 : 214,750,376 (Note) The Company has introduced the "BIP Trust" for directors and the "Stock-granting ESOP Trust" for employees, and the Company's shares held by these trusts are included in the number of treasury stock at the end of the period above. These shares are also included in the number of treasury stock which is subject to be excluded for calculation by the average number of shares during the period above.

loyees, and the Company's shares held by these trusts are included in the number of treasury stock at the end of the period above. These shares are also included in the number of treasury stock which is subject to be excluded for calculation by the average number of shares during the period above. (Note) - This document has been translated from the Japanese original for reference purposes only. In the event of any discrepancy between this translated document and the Japanese original, the original shall prevail. - This report is not required the auditing procedures by certified public accountants or accounting auditors. - The forward-looking statements, such as results forecasts, included in this document are based on information available to SEGA SAMMY HOLDINGS INC. (the Company) at the time of the announcement and assumptions considered reasonable, and actual results could differ materially, depending on a range of factors. For the assumptions prerequisite to the results forecasts and the points to be noted in the use of the forecasts, please see "Outlook for the fiscal year ending March 31, 2027" on page 9. - The Company plans to hold a briefing on financial results for institutional investors on May 12, 2026. The presentation materials to be used on the day will be posted on TDnet and the Company's website in advance, and the details of the briefing and the content of the explanation (video and audio) will also be posted on the Company’ b i s we s te.

Pages: 24
Words: 10,297
Type: Financial

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